Union Budget 2021: If the limit of tax deduction claim is increased in section 80C of the Income Tax Act in Budget 2021, then Indians would like to invest more in PPF (Public Provident Fund) to claim deduction. This thing has come out from a Twitter poll. Currently, deduction up to Rs 1.50 lakh can be claimed through investment in tax saving options valid under section 80C.
Section 80C is the most popular way to get tax exemption under the Income Tax Act. Under this, by depositing life insurance premium, ELSS, EPF contribution, annuity plan premium payment, post office small savings schemes, PPF, tax saver FD, Sukanya Samriddhi scheme, Ulip, Contribution to LIC annuity plan, investment in NPS, NABARD bond And by repairing the principal amount of the home loan, tax deduction can be claimed. Apart from this, a claim can also be obtained through tuition fees of children.
What was pole
Financial Express Online (Hindi) through a poll on Twitter wanted to know the opinion of readers about increasing the limit of tax deduction claim under section 80C. For this, he was asked, ‘If the finance minister increases the limit of section 80C to Rs 3 lakh in the budget, then in which you will invest more to claim deduction?’
In response to this question, 60 percent of the people involved in the poll chose PPF. 20% of the participants showed interest in investing more in a life insurance policy. 10-10% participants got options to increase investment in home loans and post office schemes / NSC.